In February 2016, the Financial Accounting Standards Board (FASB) issued the ASU 2016-02, Leases (Topic 842) standard for lease accounting. Since leases are widely used for a variety of business needs (from short-term and long-term asset financing), this new standard will mean big changes in how companies record leases.
Latina Fauconier of PricewaterhouseCoopers hosted a webinar that provides an in-depth analysis of the new standard. Fauconier covers several key changes from prior standards and shows viewers how it will impact lessee balance sheets in the future. Watch the webinar here.
FASB’s new standard has widespread implications to the lease recording process. Here’s an overview of the major changes:
1. Balance sheets
2. Profit and loss
For more information on the new lease accounting standards, check out the FASB’s standards documentation page. If you need help navigating the new terrain, contact your equipment finance relationship manager.